SIDNEY – Stage Stores, which owns more than 700 department stores including the Gordmans in Sidney, filed for Chapter 11 bankruptcy Sunday.
In a statement posted on gordmans.com, Stage Stores President and CEO Michael Glazer cited the challenges related to the COVID-19 pandemic as the cause of the company’s bankruptcy.
“Despite all of our efforts, we have been unable to obtain necessary financing to continue operating as an independent business,” Glazer wrote.
“We have therefore filed voluntary petitions under Chapter 11, as we simultaneously run a sale process for our business or any of our assets and initiate an orderly wind-down of our operations. We hope our actions over the last several months to reposition the business will attract the right partner who is interested in our off-price concept. If we receive a viable bid for the business, we will terminate our winddown of operations at certain locations. This is incredibly difficult news to deliver and it is a decision that we came to after exhausting all other options.”
Stage Stores operates 738 Bealls, Goody’s, Gordmans, Palais Royal, Peebles and Stage stores in 42 states across the United States.
The Gordmans in Sidney opened in September 2019 as part of the company’s strategy to move to the off-price concept. Previously the Sidney location was home to a Peebles department store.
Stage Stores temporarily closed all of its stores nationwide in March in response to the COVID-19 pandemic.
The company announced 557 of its stores would reopen on May 15 and begin liquidation. Another 67 stores are expected to open on May 28 while the balance of the company’s stores are expected to open June 4.
Stage Stores hasn’t announced reopening plans for any of its Ohio stores.
For more information about Gordmans, visit www.gordmans.com or call 800-743-8730.
Reach the writer at [email protected] or 937-538-4824.